US should lead to take off multilateral trading system: DHDCCI

New Delhi, Aug 9 (UNI) For a multilateral trading system to take off, developed countries like the US have to lead the way rather than expect developing countries to do so, PHDCCI Secretary General Bibek Debroy said today.

Mr Debroy said the the US not only wants radically reduced agricultural tariffs from developing countries, but also demands market access for industrial and other non-agricultural goods.

The recent move of the US to limit, suspend or withdraw preferential trade benefits to India, Brazil and 11 other developing countries under its Generalized System of Preferences (GSP) is a clear fall out of the collapse of the recent WTO talks, he said.

Mr Debroy said the US, in frustration, is putting the entire blame to developing countries. This would ultimately affect Indian exports as US is the India's largest export partner.

PHDCCI estimates the immediate impact of this move would be a net loss of more than 50 crore dollars in the next calendar year to Indian exporters.

Stressing on the diversification of Indian export markets, Mr Debroy advised to strengthen efforts to develop newer markets in regions like Latin America, Africa and the CIS and East European countries.

India should also negotiate Comprehensive Economic Cooperation Agreements with the EU, Japan and the Gulf region.

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